Globe Life Inc: 2Q26 First Take: Results Weaker Than Expected, Modestly Higher EPS Guidance Implies Better 2H26

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Globe Life Inc: 2Q26 First Take: Results Weaker Than Expected, Modestly Higher EPS Guidance Implies Better 2H26

J P M O R G A N North America Equity Research

22 July 2026

Globe Life Inc Overweight

GL, GL US

2Q26 First Take: Results Weaker Than Expected, Price (22 Jul 26):$184.00

Modestly Higher EPS Guidance Implies Better 2H26

Insurance - Life & Nonlife

2Q26 results were weaker than expected, with health margins and sales the Pablo S. Singzon AC

key negatives. However, management raised its outlook for the year, which (1-212) 622-2295

suggests improved results in 2H26, likely from the 3Q assumption review, pablo.s.singzon@jpmorgan.com

improving health margins, and continued share buybacks. An interesting trend Kevin Wijendra

from this quarter was elevated claims in LNL’s health business, which is (1-212) 622-7054

primarily a cancer book, and is separate from Med supp claims in United kevin.wijendra@jpmorgan.com

J.P. Morgan Securities LLC

American. While we expect management to provide more detail on this tomorrow,

our initial sense is not to read across LNL’s experience to other large supplemental

writers since claims at LNL were already deteriorating last year (no similar 2Q26 Results

detectable trend at other companies), and Family Heritage, a larger supplemental

Adjusted EPS: $3.61A vs. $3.65E

writer also owned by GL, has not shown similar adverse trends.

Premiums: $1,298 mil. vs. $1,305 mil.E

• EPS slightly below expectations, driven primarily by lower health Life margins: 41.7% vs. 41.4%E

margins. 2Q26 adjusted EPS was $3.61, lower than our and consensus Health margins: 22.7% vs. 25.5%E

estimate of $3.65. Compared to our model, a shortfall in adjusted net income

Buybacks: $175 mil. vs. $130 mil.E ($285 million vs.